Starting a franchise in a particular town or city at first requires a thorough background study to be conducted by the franchisee and then trying to find the type of franchise that would serve best to the public’s demand and franchisee’s income.
In this article we will particularly discuss about starting a retail franchise and if it is a good business option and if yes, why? The below sections has the points that clearly answers all your questions on retail franchise.
About Retail Franchise
The market all over works in a very simple way. Wholesalers pick up products from producers and sell it to retailers in bulk and cheap prices.
The retail business is a large industry and includes clothing, grocery, electronics, stationary, medical supplies and more.
Therefore, the customer base when one wishes to own a retail business is vast.
This choice has to be made by the franchisee as per the demand coming from his/her locality.
The business of a retail franchise is very popular, this is because it provides goods that the market wants the most. With India being the world’s fastest growing e-commerce market, the retail sector is growing many folds.
The top retail franchise come from brands that have been in the market since over more than 2-3 decades and wish to continue to reach out to customers in every corner of the country.
How to own Retail Franchise?
Starting a franchise is a brief process. Nevertheless, before starting the procedure to apply for a franchise partnership, the first step of the franchisee is to research on which is the most demanded retail brand.
The steps to apply are as below.
- The lead form is to be filled with personal details.
- We will connect with you to understand your preferences in terms of brands
- Basis your requirements, we will share list of brands for you to choose from
- You can look at the terms of these brands and shortlist the ones that suit you
- Then, we will help you set up meetings with the brands.
- During these meetings, the terms and conditions are to be agreed upon like franchise fee, revenue sharing, advertising and marketing strategy etc.
- Both the parties will mutually discuss on how the franchise will work.
- Thereafter, a formal agreement will have to be signed by both the parties. The franchisor will send personnel for staff training and the franchisor will inspect if the infra and other requirement are set in place.
Alongside applying for franchise there are certain documents that are also needed to be submitted for reference sake that are aadhar card of owner, Pan card of owner and the unit, Unit TAN copy and address proof.
Why Own Retail Franchise?
Owning a franchise is a goal for a lot of franchisees due to many reasons.
Considering the responsibility that comes on the franchisee’s shoulder there are many more reasons why aspiring business persons choose to start a franchise than a self-made company.
Of the many, few reasons for why one wants to own a retail franchise are:
- It is a well-established brand that is already in demand in the market from customers as the franchiser undertakes large advertising and marketing campaigns for the same.
- It deals with day to day used products of customers and therefore demand is all round the year and not seasonal.
- The support provided by the franchisor lets lesser burden on the franchisee as he/she gets help in various segments.
- Lastly, a retail franchise can fetch large profit as goods are purchased in bulk and at cheaper rates and sold with a high profit margin.
These are the reasons why considering to start a retail franchise is beneficial.
Retail Franchise – Conclusion
This is all that one needs to know before starting a retail franchise. Although the choice of the franchise remains in the hands of the businessman, post establishing the same he/she becomes a part of the brand’s family.
This allows him/her to contribute towards ideas and plans towards future betterment of the brand by increasing sales.
Considering the retail sector is an important part of the economy, it will always be a good source of income to a business person.